Police Warn IT Corridor Service Apartment Owners of Seizure Over Illegal Acts

Cyberabad police have placed service apartments across Hyderabad's IT corridor under strict scrutiny, warning owners that their properties could be seized if knowingly used for illegal operations such as gambling and prostitution. The warning follows recent enforcement actions in Madhapur and Ayyappa Society, where multiple premises were allegedly misused for commercial sex trade and betting.
The heightened vigilance comes after three cases—two involving gambling and one prostitution—were registered recently in Madhapur. In one operation on September 27, the Madhapur Police alongside the Kukatpally Special Operation Team (SOT) raided White Castle Service Apartments in Ayyappa Society. Investigators alleged that an organiser rented the apartments on a daily basis, brought women to the facility, and arranged customers on the premises.
Cyberabad Police Commissioner M. Ramesh Reddy stated that the warning was intended to compel property owners to exercise greater caution regarding their occupants. Reddy noted that authorities hold legal powers to pursue property confiscation, warning that facilitating such operations poses serious risks for landlords. He explained that the initiative is designed to educate owners about the law and deter them from allowing illicit trade.
Madhapur Police Inspector K.V. Subba Rao confirmed that service apartments are currently under close police observation. Subba Rao said owners have been formally directed to verify prospective tenants and determine the exact purpose of their stay. He warned that if unlawful activities are discovered, owners risk criminal booking and the seizure of their properties by the Revenue Department.
Kukatpally Deputy Commissioner of Police (DCP) Ritiraj said offences under the Immoral Traffic (Prevention) Act and gambling legislation have surfaced frequently at short-stay properties. The DCP observed that many owners reside abroad, delegating day-to-day operations and tenant management to independent brokers. In certain cases, properties were leased out despite awareness that illegal activities would take place, Ritiraj noted.
To establish safeguards, police have instructed landlords to record the stated purpose of every tenant's stay in writing. DCP Ritiraj explained that documenting this information will help landlords demonstrate that they were unaware of any subsequent misuse if violations occur. Commissioner Reddy has directed officers to initially advise owners of these requirements and the punitive actions that follow non-compliance.
Some local operators have already instituted tighter screening measures. K. Reddy, who manages three service apartments in west Hyderabad, said he now requires identity proof, a written reason for renting, and an exact headcount of guests before check-in. He also collects a mandatory security deposit, which is refunded only after staff inspect the property upon check-out.



